Daily News: May 17, 2013

Dell Reports 79% Q/1 Profit Drop; PC Sales Shrink

Dell announced fiscal 2014 first quarter GAAP net income was $130 million down 79% from $635 million a year earlier. Excluding certain items, income was down 51% to $372 million compared to $761 million in Q1/13.

GAAP and non-GAAP earnings per share were $0.07 and $0.21, respectively. Analysts polled by Thomson Financial had expected $0.35.

Dell said its end user computing revenue, which is linked to PC sales, was $8.9 billion in the quarter, a 9% decrease. Operating income for the quarter was $223 million, a 65% decrease. Dell said it desktop and thin-client revenue declined 2%, mobility revenue declined 16% and software from third parties and peripherals revenue declined 6%.

To read the Dell news release click here.